Wage deal set to bring stability to metals sector
It is the first time in 10 years parties have reached a settlement without resorting to industrial action, Seifsa CEO Kaizer Nyatsumba says
SA’s metals and engineering sector signed a 2017-20 wage agreement on Wednesday, after four months of tense negotiations at the Metals and Engineering Industries Bargaining Council (MEIBC), in Johannesburg. Wages in the sector will rise 7% from July 1 2017; 6.75% from July 2018 and 6.5% in the third year. The main union in the agreement, the National Union of Metalworkers of SA (Numsa), had initially demanded a 15% increase across the board. Major parties had decided to "compromise" to save collective bargaining in the industry. In June, the labour court had placed the MEIBC under administration in a bid to save it from bankruptcy. About 340,000 employees and 10,000 companies fall under the bargaining council. "The process was long and hard, and there were considerable challenges along the way, but we are hugely relieved that finally, we and our labour partners were able to reach an historic agreement on realistic wage adjustments for the next three years," Kaizer Nyatsumba, CEO of ...
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